ADB Funding for Pakistan Roads Tops $1.1 Billion

04/11/2025

By Muhammad Faisal

The Asian Development Bank (ADB) has given Pakistan more than $1.1 billion in recent years to improve the country’s road network and boost trade across regions.

It’s a big deal for Pakistan’s roads. The funding, worth about $1,105 million, was provided for five major infrastructure projects designed to improve road connectivity and trade efficiency. Four of these projects are being carried out by the National Highway Authority (NHA), according to documents reviewed by this reporter.

Major CAREC Corridor Projects Underway

Among them are three key parts of the Central Asia Regional Economic Cooperation (CAREC) Corridor Development Investment Program — Tranche I, II, and III — along with the Emergency Floods Assistance Project (EFAP).

The first CAREC project, approved in 2017, focuses on upgrading 143 kilometers of the National Highway (N-55) into a dual carriageway. The project covers three sections: 66 kilometers from Petaro to Sehwan, 43 kilometers from Ratodero to Shikarpur, and 34 kilometers from Dara Adam Khel to Peshawar.

Progress on Tranche I and II Projects

ADB had committed $80 million for this project, and so far, $62.4 million has been released to the NHA. The remaining funds will be disbursed under the usual procedures. Work on two sections is already complete, while 40 percent of the Ratodero-Shikarpur section is still unfinished. Officials expect this last portion to be done by December 31 of this year.

Another part of the plan, CAREC Tranche-II, was approved in 2021 at a cost of $190 million and is also expected to finish by the end of this year. So far, ADB has released $48.45 million to the NHA.

This phase involves building a two-lane dual carriageway over a 222-kilometer stretch of the N-55 between Shikarpur and Rajanpur. It is divided into four segments: Shikarpur to Kandhkot (62.4 km, 12% done), Kandhkot to Kashmore (58.78 km, 10% done), Kashmore to Rojan (48.9 km, 42% done), and Rojan to Rajanpur (51.85 km, 42% done). The main goal is to strengthen regional trade routes and make travel faster and safer.

Delays in CAREC Tranche-III Implementation

The third phase, CAREC Tranche-III, was approved in 2023 with an estimated cost of $360 million. It was planned to be completed by June 2027, but work has not yet started because of delays in revising project documents and ongoing legal matters.

Emergency Floods Assistance Project Rebuilds Key Roads

In addition, ADB approved $475 million in financing for the Emergency Floods Assistance Project (EFAP) in December 2022. Out of this, $150 million was set aside for road infrastructure.

The EFAP was launched after the devastating floods of 2022 that destroyed homes, damaged crops, and wrecked roads and bridges across the country. The project aims to rebuild key transport links, repair irrigation systems, restore farmland, and reduce future flood risks.

Through these projects, ADB’s support is helping Pakistan rebuild stronger infrastructure, restore mobility, and connect communities more efficiently across the country.

Author Profile

496d9eee704f68a63dcba1c89328e49dd7fb7785f894b72006d92676cd513634?s=100&d=mm&r=g
Muhammad Faisal
Muhammad Faisal is a journalist based in Islamabad who covers business, railway, and commerce sectors of Pakistan.

His reporting focuses on infrastructure, economic policy, and how national developments impact everyday life.

Leave a Comment